Labor

After months of tense negotiations and labor actions, Amalgamated Transit Union Local 1555 has voted to accept a revised contract from Bay Area Rapid Transit (BART). The other union involved, SEIU Local 1021, will vote on the contract on January 13th. Both unions originally agreed to the contracts on November 1st, 2013, only to have BART reneg claiming they did not approve of a provision dealing with family sick leave.

Beginning January 1st, Tennessee eradicated the prevailing wage. Throughout California, cities are attempting to charterize in order to do the same thing. In Illinois, growing budget deficits and underfunded pensions have some lawmakers on the right calling for the repeal of this age-old wage protection in the name of “taxpayer savings.” This broad, counterproductive strategy does more to benefit special interests groups than the labor market on which prevailing wages have a clear, positive effect.

In an Associated Press survey published today, a group of three dozen economists agree that the “growing gap between the richest Americans and everyone else isn’t bad just for individuals. It’s hurting the U.S. economy.”

New studies are lending support to the idea that an increase in the minimum wage, tacked to keep pace with inflation, does not bring stagnation to local economies. In fact, higher wages coincide with less worker turnover, higher productivity, and higher levels of job satisfaction.

Despite claims that bailing out General Motors in 2009 would turn the United States into a communist country, new evidence shows that the action was a necessary one. Earlier this week, General Motors announced plans to spend $1.3 billion to upgrade five factories in the Midwest.

The President’s speech last week on inequality avoided the “R” word. No politician wants to mention “redistribution” because it conjures up images of worthy “makers” forced to hand over hard-earned income to undeserving “takers.” The number of losers is growing so quickly, and so much of the economy's winnings are going to a small group at the top — since the recovery began, 95 percent of the gains have gone to the richest 1% — that some direct redistribution of the gains is necessary.

Corporations can prevent employees from filing class action suits in their arbitration agreements, a court of appeals ruled Tuesday, in a major blow to workers' ability to redress grievances and counter to a previous National Labor Relations Board decision.

Legislative leaders in Illinois are hoping to push a “rescue plan” that would help the state right its public pension system funding wrongs. Vehemently opposed by labor leaders who have labeled it “catastrophic,” the plan would cut cost-of-living increases for retirees, raise the retirement age for younger employees and set a cap on the pensions of public employees with the highest salaries. The plan would also place most pension plans outside the realm of collective bargaining.

An officer in the Rockaway Township has filed a whistleblower lawsuit in New Jersey Superior Court claiming she was unfairly retaliated against for pointing out that a new overtime policy went against collective bargaining agreements. The officer claims the retaliation is against the state’s Conscientious Employee Protection Act.

For Michigan unions, the one year anniversary of the implementation of “Right-to-Work” is fast approaching, yet for many shops the effects have been minimal. The new recruiting methods have allowed some unions to bring in younger workers, most of whom are happy to enter the union, to replace outgoing retirees.